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The use of past performance as a factor in the source selection process intuitively makes sense. A contractor's record of past performance is a good indicator of future performance and should be used to make best value vice low cost contract awards. The Federal Government recognizes the value of assessing past performance and mandates its use by all agencies. This study discusses the issues surrounding the use of past performance. It also provides an overview of current mandatory and discretionary past performance guidance, and describes several past performance information systems applicable to the Portsmouth Naval Shipyard, Portsmouth, NH. An analysis of the shipyard environment is then used to form the basis for an effective policy implementation plan. Currently, past performance shall be a significant factor in all competitively negotiated procurements above one million dollars. Similarly, evaluations must be prepared for each contract valued at five hundred thousand dollars or above. These thresholds will soon be lowered to one hundred thousand dollars each. Implementing the highly discretionary Federal policies at the command level requires a thorough understanding of the issues surrounding past performance such as fairness, the prescriptive versus tailored approaches, new entrant treatment, information validity, and implementation costs. Successful implementation is also dependent upon command specific needs and limitations. This study investigates the issues surrounding the implementation of the Federal past performance policies at the Portsmouth Naval Shipyard.

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